Mushroom coffees are mixing up morning rituals – delivering caffeine moderation and functional properties to the morning cup of Joe – as brands like Four Sigmatic brew new innovations in the face of supply chain complications.
Four Sigmatic was one of the first brands in the medicinal mushroom coffee space, launching in the US more than 10 years ago, Tero Isokauppila, brand founder and CEO, said at Natural Products Expo West.
Consumer acceptance of medicinal mushrooms, like lion’s mane and chaga, that are used in Four Sigmatic products, have risen steadily thanks in part to documentaries on the subject and consumers increasingly demanding mood-boosting benefits, he added.
“There are the mushroom consumers, and then there is the coffee replacement part. I think more and more people are aware that mushrooms are good for you. They have seen Netflix documentaries about fantastic fungi,” Isokauppila elaborated.
A morning routine but with half the caffeine
Mushroom coffees still all the craze at Expo West
Four Sigmatic was not the only company sharing its latest in mushroom coffees at Natural Products Expo West. Mushroom-infused beverages and foods remain a popular trend year-over-year at Expo West.
Vahdam India shared its instant mushroom coffee made of Arabica coffee, turmeric, lion's mane, chaga mushrooms and Askwaganda, along with its portfolio of teas and spice. Additionally, Everyday Dose sampled its mushroom coffees, available in original and bold varities.
Coffee remains as popular as ever, but many consumers are moderating their caffeine intake, with mushroom coffees providing one alternative, Isokauppila noted.
Four Sigmatic revealed at Expo West a slew of products that will launch later this year, including a half-caffeine blend of lion’s mane mushroom and Arabica coffee available in ground and pod to meet demand for caffeine regulation.
Additionally, Four Sigmatic revealed an organic instant coffee and instant coffee lattes, a medium roast of its Focus, hot cocoas with reishi mushrooms for stress relief, and unsweetened green tea with lion’s mane mushrooms.
Are mushroom coffees recession-proof?
Engrained coffee rituals and habits are likely to reinforce the category from economic shock like a recession or downturn, Isokauppila noted. Additionally, consumers shift from away-from-home to more at-home coffee occasions when they are trying to save money, he added.
More than half (55%) of consumers said that they drink more coffee at home compared to a café due to higher coffee prices, market research firm Deloitte shared in a survey of 7,053 shoppers.
How much caffeine is too much?
More than two-thirds (69%) of caffeine intake comes from coffee, growing 15% from 2010-2021, according to a Kantar Worldpanel survey of 49,700 consumers. The survey also found that the average intake of caffeine was 210 ± 1.5 milligrams, which falls below the FDA recommendation maximum of 400 milligrams of caffeine.
“Coffee is not that volatile during economic recessions because people still want to drink coffee, but then it impacts the whole ecosystem a lot,” Isokauppila explained.
Coffee and cocoa supply chain complications are increasing the price of Four Sigmatic’s raw materials, Isokauppila pointed out. Many Ghanaian farmers swapped cocoa fields for the more lucrative gold mines, damaging soil health due to the chemicals used in the mining process.
“Outside of the tariffs, green coffee prices have more than doubled in the last year. And the same with cocoa. We sell hot cocoa, and that has dramatically gone up. So, raw material prices are definitely a main worry,” Isokauppila said.
